Definition
The realistic share of the serviceable addressable market a company can capture in a defined time period given its resources and competition.
Why it matters for growth
SOM grounds a growth plan in near-term reality, forcing a founder to justify a specific, defensible market share target rather than an abstract large number.
Example
A founder targets a $12 million SOM within three years, representing a defensible 3% share of the serviceable market.
FAQ
- What is Serviceable Obtainable Market (SOM)?
- The realistic share of the serviceable addressable market a company can capture in a defined time period given its resources and competition.
- Why does Serviceable Obtainable Market (SOM) matter for growth?
- SOM grounds a growth plan in near-term reality, forcing a founder to justify a specific, defensible market share target rather than an abstract large number.
- What is an example of Serviceable Obtainable Market (SOM)?
- A founder targets a $12 million SOM within three years, representing a defensible 3% share of the serviceable market.